Lifetime ISAs guide

29davidjones · 5 April 2017 at 11:54AM

martinlewisjunior wrote: »

To keep this brief.

Stage 1: Open stocks and shares LISA with nutmeg tomorrow. (put £100 or £500) at risk 1.
Stage 2: When cash ISA's open, transfer NUTMEG Lisa into a cash isa, at the same time also transfer help to buy cash isa into this cash isa. (or transfer help to buy isa later depends on interest rates)
Stage 3: come April 6th 2018 , become eligible for 25% bonus. Ready to purchase a house come the late spring/ summer of 2018

I guess I'm right in thinking this?

This is my plan exactly - would love to hear from others to know whether this is fine.

Mr.Boy · 5 April 2017 at 11:56AM

I wanted to read a FAQ that's why I asked. But none is linked from this page's special header, that I can see? If there'd been an obvious link I'd have followed it

Thanks for your answer.

Kreacher · 5 April 2017 at 12:08PM

29davidjones wrote: »

This is my plan exactly - would love to hear from others to know whether this is fine.

martinlewisjunior wrote: »

To keep this brief.

Stage 1: Open stocks and shares LISA with nutmeg tomorrow. (put £100 or £500) at risk 1.
Stage 2: When cash ISA's open, transfer NUTMEG Lisa into a cash isa, at the same time also transfer help to buy cash isa into this cash isa. (or transfer help to buy isa later depends on interest rates)
Stage 3: come April 6th 2018 , become eligible for 25% bonus. Ready to purchase a house come the late spring/ summer of 2018

I guess I'm right in thinking this?

This is my exact plan too! But the Nutmeg LISA says it doesn't accept transfers from a htb ISA?The only thing I'm not sure about is are you allowed to transfer the Nutmeg s&s LISA and a HTB ISA into a cash LISA once they become available?

AcerBen · 5 April 2017 at 12:19PM

Just one thing I'm not clear on, regarding the £4,000 annual limit - does that refresh every new tax year in April regardless of when you open the account, or is it on the anniversary of account opening?

I'm intending to buy around June 2019, so want to get three years' worth of bonus on £12,000 deposited. Do I need to "get the clock ticking" now by opening a S&S, or can I wait a couple months for the cash ones to open, because I'll still enter Year 3 in April 2019 regardless?

Thanks!

Jansenrovers · 5 April 2017 at 12:41PM

Kreacher wrote: »

But the Nutmeg LISA says it doesn't accept transfers from a htb ISA?

Where does it say this?? Couldn't see anything on Nutmeg's website.

tomtomtom93 · 5 April 2017 at 1:15PM

I have no plans or specific date to buy a house. I'm 23 not loads of money and I want to take advantage of a LISA. Would it be good to start the clock on a Stock and Shares LISA on *nutmeg* for example now... and then transfer my money to a Cash LISA when one opens. Or is it best to just wait for a CASH LISA and then start the clock?

my main worries are:
i'm scared that i'll lose lots of money in fees if I put money in nutmeg (even at low risk)
Scared what to do start it in S&S LISA or just wait for CASH LISA
Worries i'll lose my money and not be able to transfer from S&S to a cash LISA

I'd really appreciate your help guys
Thanks
Tom
:money:

Ed-1 · 5 April 2017 at 1:17PM

AcerBen wrote: »

Just one thing I'm not clear on, regarding the £4,000 annual limit - does that refresh every new tax year in April regardless of when you open the account, or is it on the anniversary of account opening?

I'm intending to buy around June 2019, so want to get three years' worth of bonus on £12,000 deposited. Do I need to "get the clock ticking" now by opening a S&S, or can I wait a couple months for the cash ones to open, because I'll still enter Year 3 in April 2019 regardless?

Thanks!

The payment limit is in line with the tax year so you get a new one on 6th April each year regardless of when you open it, but your first LISA needs to have been open at least 12 months before you can buy a house with it.

Ed-1 · 5 April 2017 at 1:19PM

tomtomtom93 wrote: »

I have no plans or specific date to buy a house. I'm 23 not loads of money and I want to take advantage of a LISA. Would it be good to start the clock on a Stock and Shares LISA on *nutmeg* for example now... and then transfer my money to a Cash LISA when one opens. Or is it best to just wait for a CASH LISA and then start the clock?

my main worries are:
i'm scared that i'll lose lots of money in fees if I put money in nutmeg (even at low risk)
Scared what to do start it in S&S LISA or just wait for CASH LISA
Worries i'll lose my money and not be able to transfer from S&S to a cash LISA

I'd really appreciate your help guys
Thanks
Tom
:money:

The only reason you'd open a stocks and shares LISA is if you expect to buy a house in April/May 2018.

Otherwise wait for cash LISAs.

Kreacher · 5 April 2017 at 1:20PM

Jansenrovers wrote: »

Where does it say this?? Couldn't see anything on Nutmeg's website.

It says it in the stats box on the LISA guide: http://www.moneysavingexpert.com/savings/lifetime-ISAs

What can I invest in? Choice of 10 fully-managed portfolios, or five 'fixed-allocation' portfolios
Min investment: £100 lump sum
Annual fees: Fully managed portfolio: £0-£100k at 0.75%. Fixed portfolio (for more experienced investors): £0-£100k at 0.45% Fund manager charges (estimated): 0.19%
Can I transfer my Help to Buy ISA in? No
Exit fees: None

DHC83 · 5 April 2017 at 1:32PM

So I'm looking to get my first mortgage and this seems like the perfect way to save the deposit with a decent startup amount. Only problem is that the hype suggested it would be available in April, but no one other than Skipton is offering the cash LISA unitl June. I really wanted to get started asap. Does anyone know of other banks or firms due to offer the cash LISA soon?

Edit: It's going to be a few years before I have the full deposit.

Lifetime ISAs guide

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